Internet security experts have detected and blocked nearly 13,000 fake investment platform domains across more than 7000 IPs in January 2024, a 25% increase from December 2023.
The figure comes amid growing concerns over the escalating threat of online investment scams, which continue to prey on unsuspecting individuals worldwide.
According to data from the Federal Trade Commission, investment scams accounted for over $4.6b in fraud losses in the United States alone in 2023, marking a troubling 21% increase from the previous year.
Writing in an advisory published today, Netcraft said these scams often operate through sophisticated fraudulent investment websites, enticing victims through email solicitations, social media posts or deceptive advertisements.
One common strategy mentioned in the article involves recruiting users through social media platforms or messaging apps, where self-proclaimed 'experts' or 'financial analysts' tout investment opportunities.
These individuals, often bots engaging in scripted conversations, create the illusion of legitimacy and profitability, ultimately leading victims to deposit funds into fake investment platforms.
Cybercriminals employ email campaigns to lure victims, promising high-yield returns and providing links to fraudulent websites disguised as legitimate investment platforms.
Despite appearing convincing, these platforms are rife with red flags, including unrealistic return-on-investment promises and tiered investment schemes.
Scammers may combine investment scams with advance fee fraud, soliciting upfront payments under false pretenses.
Victims are enticed with promises of accessing substantial inheritance funds, only to discover that they've fallen victim to a sophisticated ruse.
By presenting professional-looking financial dashboards and employing various manipulation techniques, scammers create the illusion of legitimate trading activity to hook victims and extract substantial investments.
The research underscores the urgent need for enhanced cybersecurity measures and increased awareness to combat the proliferation of online investment scams.
By understanding the tactics employed by cybercriminals, individuals can better protect themselves from falling prey to these deceptive schemes.
This Cyber News was published on www.infosecurity-magazine.com. Publication date: Wed, 13 Mar 2024 16:00:25 +0000